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Attorney General Nessel Files Lawsuit to Stop Alleged Cloning Scheme Targeting Ferndale Businesses
July 09, 2025
LANSING – Michigan Attorney General Dana Nessel has filed a lawsuit (PDF) in the 3rd Circuit Court in Wayne County against 17 limited liability companies (LLCs) and two individuals, Eric Vander Ley and Daniel Vander Ley, for an alleged scheme targeting Ferndale-based businesses. The lawsuit contends Eric Vander Ley harassed small business owners in the area using the liability companies to coerce payments with the help of his brother, Daniel Vander Ley.
Attorney General Nessel alleges in her complaint that Eric Vander Ley exploited lapses in business registration with the Michigan Department of Licensing and Regulatory Affairs to form clone corporations, or new companies using the same names of existing Ferndale businesses, including Bags and Beads, Como’s Restaurant, Beau’s Grillery, and Tin Can Cocktails. Eric Vander Ley, with the assistance of Daniel Vander Ley, the lawsuit contends, then used these cloned entities to target and harass the original business owners in an attempt to extract money.
In one instance outlined in the lawsuit, Eric Vander Ley allegedly accused the owner of Downtown Ferndale Bike Shop of copyright infringement and business interference, demanding $500 per hour for discussions related to a fabricated settlement. When the owner refused to pay, it is alleged that Eric Vander Ley further escalated his harassment of the owner. The complaint also alleges that the owner of Urbanrest Brewing Company, along with his employees and customers, endured similar harassment after receiving Eric Vander Ley’s monetary demands.
“These fraudulent LLCs were created to sow confusion, harass, and extract money from hardworking small business owners in Ferndale,” Nessel said. “Such conduct is not only reprehensible but illegal, and these sham companies must be dissolved. My office remains committed to protecting Michigan businesses.”
In filing the complaint, Attorney General Nessel seeks to dissolve the 17 LLCs.
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